Published on:
October 16, 2023
Shaik Musrath

The Calculation of Casino Supply Value Under Rule 31 C of CGST Rules

Goods and Services Tax (GST) in India brought significant changes to the taxation of various sectors, including the gaming and casino industry. Casinos and online gaming platforms are now required to comply with GST regulations. One critical aspect of this compliance is determining the value of casino supplies. In this blog, we will study the complexities of calculating the casino supply value under Rule 31 C of the Central Goods and Services Tax (CGST) Rules.

What is Casino Supply Value

Casino supplies are categorised as services under GST. According to Rule 31C of the CGST Rules, 2017, the value of supply of casino services must be determined based on certain prescribed principles. Let's explore the key elements involved in this calculation:

Consideration Amount

The most fundamental element in determining the value of a casino supply is the "consideration amount." This amount refers to the total money or cash equivalent paid or payable to the casino or gaming service provider for the supply of their services. It includes all charges and fees associated with the gaming activity.

Prize Money and Jackpots

One unique aspect of the casino industry is the payout of prize money and jackpots to players. Under Rule 31C, this element plays a crucial role in calculating the casino supply value. The value of casino services should include the face value of prize money or jackpot amounts that are offered, whether paid out or not.

Discount or Commission

In some cases, casinos offer discounts or commissions to their customers. If these discounts or commissions are linked to the gaming activity and are provided by the casino or gaming service provider, they are included in the calculation of the casino supply value.

Taxes and Duties

The value of casino supplies should also account for taxes and duties that are collected and payable to government authorities. These taxes and duties, such as GST itself, are considered part of the value of the supply.

Example Calculation

Let's walk through a simplified example to illustrate how the value of a casino supply is calculated:

Suppose a casino offers a gaming package to a customer for a total consideration amount of INR 10,000. During the gaming session, the customer wins INR 2,000 in prize money. The casino provides a 5% discount on the package, amounting to INR 500.

The calculation of the casino supply value would be as follows:

Consideration Amount: INR 10,000 Prize Money: INR 2,000 Discount: INR 500 Total Value: INR 10,000 + INR 2,000 - INR 500 = INR 11,500

Therefore, the value of the casino supply in this scenario would be INR 11,500.


Calculating the value of casino supplies under Rule 31C of the CGST Rules is a vital aspect of GST compliance for casinos and gaming service providers. It is essential to understand the elements that contribute to this calculation, including consideration amounts, prize money, discounts, and taxes. Adherence to these guidelines ensures that the casino industry operates in compliance with GST regulations, promoting transparency and accountability in this rapidly evolving sector.


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Updated on:
October 16, 2023